What is the difference between Zero Rated VAT and Exempted VAT in UAE

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Service TypeTax Consultation
Contact Number/s+971 44081900
State of the CountryDubai
Classified ad is posted byCompany
Company NameShuraa Tax
A Few keywords that are highlight of your Advert.zero rated and exempt vat uae, difference between zero rated vat and exempted vat, zero rated vat in uae
Classified HighlightsThere is a difference between Zero rated VAT and Exempted VAT in UAE. Zero rated VAT means you must charge VAT at 0%. Exempt VAT means you must NOT charge VAT.

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The basic difference between zero rated and exempt VAT UAE is there itself in the term. Goods and services that are charged 0% VAT are considered zero-rated supplies, whereas those completely exempt from VAT are categorized as exempt supplies. Additionally, businesses dealing with zero-rated supplies can claim their input tax deductions obtained in the course of producing the supplies. However, businesses offering exempt supplies lack this benefit, which is yet another difference between the aforementioned categories.

https://www.shuraatax.com/zero-rated-vat-and-exempted-vat-in-uae/

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